The company has been declared as the lowest bidder for four-laning of about 43 km of Rampur-Kathgodam section of NH 87 (New NH 9) in Uttar Pradesh and widening of another about 50 km stretch of the Rampur-Kathgodam section of NH-87 (New NH 9,109) in Uttarakhand, Sadbhav Infrastructure said in a BSE filing.

Both the packages have been awarded under National Highways Development Project (NHDP) hybrid annuity mode, it said.

Under this model, the government will provide 40 per cent of the project cost to the developer to start work while the remaining investment has to be made by the developer.

The Cabinet had recently given approval for model as one of the modes of delivery for implementing the highway projects.

While for the Uttar Pradesh package, the NHAI project cost will be Rs 615 crore, bid project will cost Rs 738 crore, the company said in the filing.

For the Uttarakhand package, NHAI will contribure Rs 571 core while the bidder will have to contribute Rs 657 crore.

The company said the construction period for both the projects have been fixed at 730 days.

The letter of award will be provided by the NHAI within 60 days.

The shares of the company closed at Rs 89.85 apiece on the BSE, up 2.80 per cent from the previous close.

Currently, the Goods and Services Tax (GST) is levied at 12 per cent on payments made for under-construction property or ready-to-move-in flats where completion certificate has not been issued at the time of sale.